Hunter Group ASA - Company Presentation 9 September 2020Save a tree – presentation can be found at www.huntergroup.no

CERTAIN STATEMENTS INCLUDED IN THIS DOCUMENT CONTAIN FORWARD-LOOKING STATEMENTS. FORWARD-LOOKING STATEMENTS INCLUDE STATEMENTS CONCERNING PLANS, OBJECTIVES, GOALS, STRATEGIES, FUTURE EVENTS OR PERFORMANCE, AND UNDERLYING ASSUMPTIONS AND OTHER STATEMENTS, WHICH ARE OTHER THAN STATEMENTS OF HISTORICAL FACTS. THE WORDS “BELIEVE,” “ANTICIPATE,” “INTENDS,” “ESTIMATE,” “FORECAST,” “PROJECT,” “PLAN,” “POTENTIAL,” “MAY,” “SHOULD,” “EXPECT” “PENDING” AND SIMILAR EXPRESSIONS IDENTIFY FORWARD-LOOKING STATEMENTS. THE FORWARD-LOOKING STATEMENTS IN THIS DOCUMENT ARE BASED UPON VARIOUS ASSUMPTIONS, MANY OF WHICH ARE BASED, IN TURN, UPON FURTHER ASSUMPTIONS, INCLUDING WITHOUT LIMITATION, MANAGEMENT'S EXAMINATION OF HISTORICAL OPERATING TRENDS, DATA CONTAINED IN HUNTER GROUP’S RECORDS AND OTHER DATA AVAILABLE FROM THIRD PARTIES. ALTHOUGH HUNTER GROUP BELIEVES THAT THESE ASSUMPTIONS WERE REASONABLE WHEN MADE, BECAUSE THESE ASSUMPTIONS ARE INHERENTLY SUBJECT TO SIGNIFICANT UNCERTAINTIES AND CONTINGENCIES WHICH ARE DIFFICULT OR IMPOSSIBLE TO PREDICT AND ARE BEYOND HUNTER GROUP’S CONTROL, YOU CANNOT BE ASSURED THAT HUNTER GROUP WILL ACHIEVE OR ACCOMPLISH THESE EXPECTATIONS, BELIEFS OR PROJECTIONS. THE INFORMATION SET FORTH HEREIN SPEAKS ONLY AS OF THE DATES SPECIFIED AND HUNTER GROUP UNDERTAKES NO DUTY TO UPDATE ANY FORWARD-LOOKING STATEMENT TO CONFORM THE STATEMENT TO ACTUAL RESULTS OR CHANGES IN EXPECTATIONS OR CIRCUMSTANCES. IMPORTANT FACTORS THAT, IN HUNTER GROUP’S VIEW, COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE DISCUSSED IN THE FORWARD-LOOKING STATEMENTS INCLUDE, WITHOUT LIMITATION: THE STRENGTH OF WORLD ECONOMIES AND CURRENCIES, GENERAL MARKET CONDITIONS, INCLUDING FLUCTUATIONS IN CHARTERHIRE RATES AND VESSEL VALUES, CHANGES IN DEMAND IN THE TANKER MARKET, INCLUDING BUT NOT LIMITED TO CHANGES IN OPEC'S PETROLEUM PRODUCTION LEVELS AND WORLD WIDE OIL CONSUMPTION AND STORAGE, CHANGES IN HUNTER GROUP’S OPERATING EXPENSES, INCLUDING BUNKER PRICES, DRYDOCKING AND INSURANCE COSTS, THE MARKET FOR HUNTER GROUP’S VESSELS, AVAILABILITY OF FINANCING AND REFINANCING, ABILITY TO COMPLY WITH COVENANTS IN SUCH FINANCING ARRANGEMENTS, FAILURE OF COUNTERPARTIES TO FULLY PERFORM THEIR CONTRACTS WITH US, CHANGES IN GOVERNMENTAL RULES AND REGULATIONS OR ACTIONS TAKEN BY REGULATORY AUTHORITIES, POTENTIAL LIABILITY FROM PENDING OR FUTURE LITIGATION, GENERAL DOMESTIC AND INTERNATIONAL POLITICAL CONDITIONS, POTENTIAL DISRUPTION OF SHIPPING ROUTES DUE TO ACCIDENTS OR POLITICAL EVENTS, VESSEL BREAKDOWNS, INSTANCES OF OFF-HIRE AND OTHER IMPORTANT FACTORS.

THIS PRESENTATION IS NOT AN OFFER TO PURCHASE OR SELL, OR A SOLICITATION OF AN OFFER TO PURCHASE OR SELL, ANY SECURITIES OR ASOLICITATION OF ANY VOTE OR APPROVAL.

Forward Looking Statements

2

Hunter Group ASA – A publicly traded investment company

Company overview Top 10 shareholders (as of 8 September 2020)

3

• Nimble and agile fleet of 7x SMART VLCCs built at DSME and fitted with Wärtsilä scrubbers

− Avg. all-in price of USD ~86m

• Superior access to cargo flow provided by Tankers International, the world’s largest VLCC pool

• Quality and bespoke technical management services provided by OSM in Arendal

• Objective is to return all surplus cash to shareholders, either through dividends, buybacks or deleveraging

Apollo Asset Ltd. Other shareholders

~29% ~71%

Indicator AS*

100%

Hunter Group ASA

Oslo Axess ("HUNT")

100%

7x VLCCs delivered 2019 - 2020

Hunter Tankers AS

*Limited activities

Future

opportunities?

Investor Shares (m) Ownership

Apollo Asset Limited 169 29%

Sundt AS 46 8%

Songa 40 7%

Swap Invest 16 3%

BNP Paribas Securities 15 3%

Nordnet Livsforsikring 10 2%

DB London 8 1%

DNB Luxembourg 6 1%

Halvorsens Fabrikk 6 1%

Verdipapirfondet Nordea Kapital 5 1%

Sum top 10 319 56%

Total 575 100%

Key events past twelve months

4

Q4 ’19 – Q2 ‘20 financial highlights

Q4’19 Q1 ‘20 Q2 ‘20

Pool days 181 277 197

TC days - 12 191

Offhire/startup days 44 10 -

Total sailing days 225 299 388

Revenue 24.4 20.8 29.6

Pool revenue 12.0 19.9 14.5

TC revenue 0.9 14.8

Other revenue 12.4 - -

Operating expenses 3.4 5.3 6.4

Opex. & insurance 1.4 1.9 2.5

Cash based G&A 0.2 0.3 0.3

Voyage expenses & commissions 1.9 0.6 0.3

Net income 16.1 11.8 18.8

Yard instalments 120 77 87

Remaining capex 269 192 106

Cash balance 52.5 35.2 17.1

Interest-bearing debt 180.0 233.1 283.2

Avg. achieved TCE $66,600 $72,030 $76,340

Avg. cash breakeven per day $27,500 $21,100 $24,300

• Delivery of Hunter Atla

• Financed first three vessels with USD 180m sale and leasebacks to avoid equity issuance and shareholder dilution

Q3 2019

Q4 2019

Q1 2020

Q2 2020

Q3 2020

• Delivery of Hunter Saga and Hunter Laga

• Completed sale of one vessel for USD 98m

• Delivery of Hunter Freya

• Secured USD 377.5m bank financing

− USD 220 million takeout loan for four latest vessels

− USD 157.5m bank loan to refinance the sale and leaseback

• Delivery of Hunter Disen

• Booked 4 of 7 vessels on 6-8 month TCs at height of market

• Hunter Idun and Hunter Frigg delivered

• Booked Hunter Frigg on 6-8 month TC at USD 40,000/day

• Refinanced Hunter Atla and Hunter Saga with USD 100.4m bank debt

27,500

21,100

24,30022,500

21,45020,500

-

100

200

300

400

500

600

700

-

5,000

10,000

15,000

20,000

25,000

30,000

Q4 '19 Q1 '20 Q2 '20 Q3 '20 est. Q4 '20 est. Pro forma*

# vessel daysUSD/dayAvg. cash breakeven Vessel days

Approaching industry leading cash breakeven levels

5

Historical and expected cash breakeven levels

Increased by positioning costs prior to joining TI scrubber pool

Includes amortization free period for SLBs

Assumes Hunter Laga SLB refinanced with bank debt

Remember the fuel savings…

6

6,350

21,450 20,500

15,500400 6002,800

7,600

3,700

950

5,000

Opex & ins. Run ratecash G&A

TIpool cost

Saleleaseback

Bankamort.

Bankinterest

Cashbreakeven

Laga refi.effect

PF cashbreakeven

Scrubber &fuel savings

Marketbenchmarkbreakeven

Cash breakeven breakdown (USD/day)

Benchmark spot rates of around USD 15,500 per day means USD ~20,500 for Hunter vessels

21,450

63,750

42,075

25,250

17,20012,200

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

Q4 '20 est. cashbreakeven

FFA market H2 '20 Current market(Hunter vessels**)

Current market(Benchmark)

USD/d

66% covered

100% covered*

Robust rate coverage through current market weakness

7

Second half 2020: 66% covered at USD 63,750 per day

100% covered at USD 42,075* per day

*Assumes zero earnings for 34% of H2 ’20 **Includes current scrubber and fuel savings of USD 5,000

Source: Company, Clarksons

Hunter coverage H2 ‘20

High degree of flexibility with nimble fleet size

8

Current charter coverage

Hunter Atla

Hunter Saga

Hunter Laga

Hunter Freya

Hunter Disen

Hunter Idun

Hunter Frigg

Construction TC Spot

Construction TC Spot

Spot

TC Spot

Spot

Construction TC Spot

Q2 '20 Q3 '20 Q4 '20 Q1 '21

TC Spot

Volatile?

9Source: Tankers International Ltd., Company

Benchmark VLCC spot rates: TD3C MEG - China

-

50,000

100,000

150,000

200,000

250,000

300,000

Sep19

Oct19

Oct19

Nov19

Nov19

Dec19

Dec19

Dec19

Jan20

Jan20

Feb20

Feb20

Mar20

Mar20

Apr20

Apr20

May20

May20

Jun20

Jun20

Jun20

Jul20

Jul20

Aug20

Aug20

USD/day

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

USD/day

Chinese new year and 26 COSCO VLCCs

reentering market

Oil price war causing buying spree and contango driven

floating storage

High oil inventories, reduced imports and addtl. OPEC+ production cuts

COSCO sanctions and Saudi Abqaiq attacks

Seasonal strength and scrubber offhire

VLCC spot rates (lhs) 5-year average VLCC spot rates (rhs)

The world will still need increasing amounts of oil

10

World oil consumption

40

50

60

70

80

90

100

110

Mbd

Source: EIA, Company

• Trough monthly avg. demand of 82mbd in April, causing OECD inventory to peak at 90 days forward coverage

• June demand reported at 90mbd -> December demand expected at 99mbd

• OECD inventories forward day coverage expected back to normal early 2021

Oil market balance normalizing sooner than expected

11

55

60

65

70

75

80

85

90

95

80

85

90

95

100

105

Jan 19 Apr 19 Jul 19 Oct 19 Jan 20 Apr 20 Jul 20 Oct 20 Jan 21 Apr 21 Jul 21 Oct 21

DaysMbdOECD inventory forward days coverage Total World Production Total World Consumption

Source: EIA, Company

Record fiscal stimulus and rebounding global PMIs

12

Top ten COVID-19 fiscal stimulus responses (USDbn)

Source: World Bank, Statista, JPMorgan

JPMorgan Global Composite PMI

2,821

1,072 1,004

342 269 217 198 148 136 98345

-

500

1,000

1,500

2,000

2,500

3,000

US Japan China Germany Canada Brazil India Australia France Italy Other

USDbn

13% 21% 7% 9% 16% 12% 7% 11% 5% 5%

Share of 2019 GDP: • Combined US, Japan and China stimulus close to USD 5 trillion or ~12% of GDP

• Close to USD 7 trillion of fiscal stimulus pledged globally in response to COVID-19

• Global PMIs have rebounded since April low, with August reading of 52.3

− Above/below 50 means expanding/contracting economy

52.4

25

30

35

40

45

50

55

Sep 19 Oct 19 Nov 19 Dec 19 Jan 20 Feb 20 Mar 20 Apr 20 May 20 Jun 20 Jul 20 Aug 20

360

200

250

300

350

400

450

500

Sep

18

No

v 1

8

Jan

19

Mar

19

May

19

Jul 1

9

Sep

19

No

v 1

9

Jan

20

Mar

20

May

20

Jul 2

0

Sep

20

$/ldt

VLCC fleet structure limiting prolonged downturn

13

VLCC orderbook and scrap candidates

• 826 VLCCs currently on the water

• All time low orderbook of ~7%

• 181 VLCCs turning 15 years or more by 2022, equal to ~22% of current fleet

• 78 VLCCs turning 20 years

• 103 VLCCs turning 15 years

• Limited new orders due to uncertainty around decarbonization requirements

− LNG dual fuel VLCCs currently priced with $15-20m premium

Scrap prices* have rebounded

Source: Clarksons, Fearnleys, Company*India tanker scrap price per lightweight ton

• Scrap prices have rebounded recently, increasing scrapping incentives for owners of older tonnage

• Typical 20-year special survey costs USD 3.5m

• BWTS USD ~1.5m

• USD ~2m survey costs

− Steel renewal, machinery overhaul etc.

• 20 – 25 days total offhire

45k lightweight tonnes=

$16.2m scrap value

3827

36 3629 31

1928

39

5358

65

49

3123 21

47 5039

68

24

24

27

12

-31-19

-28

-47

-20

-36

-28 -26-34

-28

-3 -1 -3-9 -13

-6-16 -18

-7-1 -2

-10

-31

-4

-80

-60

-40

-20

0

20

40

60

80

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

Fleet OB Turning 15-20 yrs Turning 20+ yrs Scrapped

14

Q&A

Hunter Group ASA

Org. nr. 985 955 107

Dronningen 1

0287 Oslo, Norway

+47 975 31 227

info@huntergroup.no